The restaurant, an Instagram staple, will be taken over by local operators Firma Pfefferbeere, authorities in the canton of Appenzell Innerrhoden announced on Monday.
The firm has signed on for ten years and is expected to start operations at the restaurant in spring 2019.
Monday's announcement puts paid to concerns that the restaurant, which is nestled against a cliff face in the Alpstein massif in north-eastern Switzerland, could fall into foreign hands.
The news also comes after the previous tenants announced in August they were would move on at the end of the season because a massive boost in visitor numbers was putting a strain on the restaurant's infrastructure.
“There are constant shortages in terms of space requirements and water and electricity supply, which could intensify in future,” a statement from the former tenants said.
In 2014, the Äscher was named one of the five most interesting restaurants in the world in the Huffington Post and a year later it featured on the cover of National Geographic's ‘Destinations of a Lifetime' special. As a result, visitor numbers have soared.
In 2017, a record 250,000 people used the cable car link to the restaurant, up 14 percent on a year earlier.
The foundation that owns that restaurant said on Monday improvements would now be carried out but the external appearance of the restaurant would remain unchanged.